09/12/2010 - 00:00

Hutton boosts RNI stake before Doolgunna drill

09/12/2010 - 00:00

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RESOURCES and Investment non-executive director John Hutton has significantly boosted his holdings in the Miles Kennedy-led copper explorer as investor interest builds over the copper-gold potential of the Doolgunna region.

RESOURCES and Investment non-executive director John Hutton has significantly boosted his holdings in the Miles Kennedy-led copper explorer as investor interest builds over the copper-gold potential of the Doolgunna region.

RNI is one of a slew of closely watched companies with tenements surrounding Sandfire Resources’ vaunted Doolgunna discovery, 150 kilometres north of Meekatharra, which is shaping as Western Australia’s best-ever copper strike.

With a strategic package of tenements (originally held by Sandfire) immediately south of those hosting the main DeGrussa and Conductors discoveries at Doolgunna, RNI shares have risen 10-fold since late April to current levels around 60 cents.

Last week, Mr Hutton beefed up his stake in the company by acquiring 2.5 million shares in RNI on market for an average of 70.1 cents a share. The $1.75 million purchase boosted his total holdings to more than 6.9 million shares, worth $4.18 million at current prices.

He also holds 1 million options, exercisable at $1 per share, after shareholders last month approved the issue of new options to RNI’s directors.

Mr Hutton’s purchase comes as RNI paves the way for its first drilling program at the company’s Doolgunna holdings.

Last month, it began a ground electromagnetic survey over the tenements aimed at prioritising the most prospective drilling prospects from 15 targets identified during a recent geological mapping and geochemical sampling program.

The results of the electromagnetic survey should be known by the end of the year.

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